Nusa Dua, S Kalimantan (Antaranews Kalsel) - Minister of Trade Enggartiasto Lukita said the oil palm industry and its derivative products are still the mainstay industry that has an important role in driving economic growth.


He said palm oil is important because its products are needed by almost the entire world community and this commodity is able to become the largest foreign exchange earner for Indonesia.

"The palm oil industry encourages economic growth for 5.3 million workers engaged in palm oil production and is able to get 10 million Indonesians out from the threat of poverty," he said while speaking at the 14th Indonesian Palm Oil Conference (IPOC) and 2019 Price outlook at Nusa Dua Bali on Thursday (1/11).

Based on the report of the Center on Food Security and the Environment Stanford University 2016, from 2001-2010 the Indonesian palm oil industry has become the main source of livelihood for 21 million people in Indonesia.

Even this industry has succeeded in lifting the economy of 1.3 million poor people in rural areas in Indonesia. He ensures oil palm plantations are not the biggest cause of world deforestation.

Based on data from The Impact of EU Consumption on Deforestation in 2013, deforestation occurs because of soybean agriculture 19 percent and 11 percent of corn and are contributors to deforestation in the world, while oil palm only contributes 8 percent of total deforestation as a whole.

According to him, the government will focus on increasing the productivity of palm oil by maintaining the principle of improving community welfare and environmental quality.

"Moreover, based on statistical data, up to now 41 percent of people's oil palm plantations are owned by small farmers, meaning that the economic dependence of the oil palm industry on smallholdings is very high," he said.
 

Pewarta: Fathurrahman

Editor : Mahdani


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